Guide to Selling HDB Flats

By Lin Zhiqin

/ The Edge Property |

June 10, 2016 12:00 PM SGT

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Pre-sale checks

Sellers must fulfill the Minimum Occupation Period (MOP) before they can sell their flats.

The MOP is calculated from the date the sellers collect the keys to the flat. It excludes any period where they do not occupy the flat, such as when the whole flat is rented out or when there has been an infringement of the flat lease.

The MOP duration depends on the purchase mode, flat type, and date of flat application:

Purchase Mode	MOP
Flat purchased from HDB	5 years
Design, Build and Sell Scheme (DBSS) flat purchased from a developer	5 years
Flat purchased under the Selective En bloc Redevelopment Scheme (SERS)	Either 1 of the following: 7 years from the date of flat selection. This includes the wait time and occupation time 5 years from the date of occupation
Flat purchased under SERS with Portable SERS Rehousing Benefits	5 years
Resale flat purchased from the open market with CPF Housing Grant	5 years
Resale flat purchased from the open market without CPF Housing Grant	1-room flat
2-room flat or bigger	Application date on or after 30 August 2010
Application date between 5 March to 29 August 2010	3 years
Before 5 March 2010	2.5 years with an HDB loan and 1 year without an HDB loan

Sellers can check if they have fulfilled the MOP here

Ethnic Integration Policy (EIP) and Singapore Permanent Resident (SPR) quota

Prospective buyers of HDB flats are subject to certain eligibility conditions based on citizenship, age, family nucleus, Ethnic Integration Policy (EIP) and Singapore Permanent Resident (SPR) quota.

The EIP ensures a balanced mix of the various ethnicity in HDB towns, blocks and neighbourhoods. It applies to all buyers.

The SPR quota ensures that SPR households can better integrate into the local community. It applies to non-Malaysian SPR households, where no buyer is Singapore citizen or Malaysian SPR.

To fulfill the EIP and SPR quota, the buyers’ household must

fall within the block/neighbourhood’s ethnic and SPR limits

be of the same ethnic group and household citizenship as the seller

Use HDB e-service to check eligibility

Procedure for selling HDB flat

Set your asking price. Consider engaging a real estate salesperson (property agent) who can assist you in pricing and handling the paperwork

Check that the salesperson is registered with the Council for Estate Agencies (CEA)

Market your property. Your salesperson will assist you in this

List your property for sale

Screen the prospective buyers

Check if your property fits their criteria, such as budget, number of bedrooms, size and location

Conduct viewing

Negotiate with buyers who will try to bargain

Check if prospective buyer fulfills the EIP and SPR quota

Complete resale checklist

Seller must complete the sellers’ resale checklist at least 7 days before granting an Option to Purchase

Grant Option to Purchase (OTP) in exchange for Option fee

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The standard HDB OTP must be used

After agreeing to a price, seller gives buyer the completed and signed OTP in exchange for an Option fee of up to $1,000

The OTP is valid for 21 calendar days, during which the flat is reserved for the buyer

Buyer to request a valuation report

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Buyers or their salesperson must apply for a valuation report by the next working day (Monday to Saturday) after seller grants OTP

Buyer to complete resale checklist

The resale checklist must be completed before exercising the OTP

Buyer to exercise OTP

Buyer must sign the OTP within 21 calendar days and pay a deposit to the seller of up to $5,000, less the Option fee paid

A binding contract for the sale and purchase of the flat is formed upon exercise of the OTP

The Option fee will not be refunded if the buyer does not exercise the OTP

Submit resale application

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Both buyer and seller must submit their resale applications within the number of days agreed upon on page 4 of the OTP

Both buyer and seller must submit their resale applications within 7 days of each other

Book and attend first appointment

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The second party between buyer and seller to submit their resale application will book a first appointment at HDB

Both buyer and seller must attend the first appointment

Second appointment

If the resale application is approved, HDB will schedule a second appointment with the buyer and seller 6 to 8 weeks after the first appointment

The sale and purchase of the flat is completed at the second appointment

Source: HDB, The Edge Property

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